Interpretation of the different investment rates: 3 insights
Posted: Wed Feb 12, 2025 8:12 am
Do you have the infrastructure to expand?
If not, start by preparing your sales, production and customer service staff for significantly higher demand.
Do you have the financial resources to expand internationally?
If not, expand your customer base domestically first. Some of the tips in this article will still be helpful for you, so read on!
Are your foreign language skills sufficient to expand internationally?
If not, this article will give you tips on how to approach the language and culture of the country you want to expand into.
Do you know how much money you can get from your EU neighbor or in the USA?
If not, read on!
Where is the money in the USA, France and Germany?
Let's take a look at the following three charts. For each country — the US, France and Germany — we have selected the three types of software that have the largest share of the budget. The companies are broken down into different sizes so that we can specifically look at their respective investment rates.
Internationalization of companies: US companies that want to invest in software
Figure 1: This diagram shows the respective interest of companies of different sizes in the listed technologies (in percent).
Internationalization of companies: French companies wanting to invest in software
Figure 2: France's largest companies appear to be more cautious about investing in popular software categories. You'll find out why below.
Internationalization of companies: German companies that want to invest in software
Figure 3: These charts clearly show the differences between the US, France and Germany as well as the international business sentiment.
Why are these types of software top performers?
Data and information security software and cloud applications made it into the top 3 in all three countries considered.
Cloud computing — with its sub-areas SaaS (Software as a Service), PaaS (Platform as a Service) and IaaS (Infrastructure as a Service) — has become an integral part of today's working practices, especially in companies that have a large need for storage space and have to coordinate company branches in different locations.
The great popularity of data and information security software in Germany and France can be explained by the fact that both countries, as EU member states, are subject to the strict General Data Protection Regulation (GDPR). As a German company expanding into the USA, you should be well informed about data protection in order not to violate the GDPR by transferring personal data, for example, and risk heavy fines.
Conversely, this also means that any U.S. company that interacts with European citizens and companies must also comply with the GDPR. Given international business relationships, growing concerns about online security, and various other security hong kong telegram data regulations, it is not surprising that all three countries are investing more in data and information security software.
In both Germany and the US, financial management and accounting software falls into the top three categories, while France invests more heavily in CRM software to maintain relationships with customers.
This can be explained by the fact that Germany and the USA operate in similar areas in the global market at their respective locations: they are among the leading nations in terms of trade, production and transport. In these three industrial sectors, financial management / accounting software is an indispensable tool for small and medium-sized companies.
1. Large US companies invest more in technology overall than German and French companies
Let’s look at the investment rates in Figures 1–3.
Except for businesses that generate less than $5 million per year, U.S. SMEs invest more in software than their European counterparts — in some cases almost twice as much.
If not, start by preparing your sales, production and customer service staff for significantly higher demand.
Do you have the financial resources to expand internationally?
If not, expand your customer base domestically first. Some of the tips in this article will still be helpful for you, so read on!
Are your foreign language skills sufficient to expand internationally?
If not, this article will give you tips on how to approach the language and culture of the country you want to expand into.
Do you know how much money you can get from your EU neighbor or in the USA?
If not, read on!
Where is the money in the USA, France and Germany?
Let's take a look at the following three charts. For each country — the US, France and Germany — we have selected the three types of software that have the largest share of the budget. The companies are broken down into different sizes so that we can specifically look at their respective investment rates.
Internationalization of companies: US companies that want to invest in software
Figure 1: This diagram shows the respective interest of companies of different sizes in the listed technologies (in percent).
Internationalization of companies: French companies wanting to invest in software
Figure 2: France's largest companies appear to be more cautious about investing in popular software categories. You'll find out why below.
Internationalization of companies: German companies that want to invest in software
Figure 3: These charts clearly show the differences between the US, France and Germany as well as the international business sentiment.
Why are these types of software top performers?
Data and information security software and cloud applications made it into the top 3 in all three countries considered.
Cloud computing — with its sub-areas SaaS (Software as a Service), PaaS (Platform as a Service) and IaaS (Infrastructure as a Service) — has become an integral part of today's working practices, especially in companies that have a large need for storage space and have to coordinate company branches in different locations.
The great popularity of data and information security software in Germany and France can be explained by the fact that both countries, as EU member states, are subject to the strict General Data Protection Regulation (GDPR). As a German company expanding into the USA, you should be well informed about data protection in order not to violate the GDPR by transferring personal data, for example, and risk heavy fines.
Conversely, this also means that any U.S. company that interacts with European citizens and companies must also comply with the GDPR. Given international business relationships, growing concerns about online security, and various other security hong kong telegram data regulations, it is not surprising that all three countries are investing more in data and information security software.
In both Germany and the US, financial management and accounting software falls into the top three categories, while France invests more heavily in CRM software to maintain relationships with customers.
This can be explained by the fact that Germany and the USA operate in similar areas in the global market at their respective locations: they are among the leading nations in terms of trade, production and transport. In these three industrial sectors, financial management / accounting software is an indispensable tool for small and medium-sized companies.
1. Large US companies invest more in technology overall than German and French companies
Let’s look at the investment rates in Figures 1–3.
Except for businesses that generate less than $5 million per year, U.S. SMEs invest more in software than their European counterparts — in some cases almost twice as much.